I interviewed Zeeshan Ahmed Ganatra who discussed Transportation Fleet Efficiency.
...Looking forward to discuss with you Transportation Fleet Efficiency. Before we start, can you provide a brief background of yourself?
Yeah. I'm sorry. This is Zeeshan [inaudible 00:00:17]. I'm currently heading the supply chain in one of the renowned [inaudible 00:00:23] Pakistan, [inaudible 00:00:24], and I have around 16+ year experience in the field of supply chain. That's [inaudible 00:00:31] production planning, [inaudible 00:00:33] planning, warehousing, transportation, procurement, and some sort of business [inaudible 00:00:39].
Out of this 16 years of experience, I have several different service industry and different manufacturing industry in which the banking system such as Citibank [inaudible 00:00:50] the hospitalization such as [inaudible 00:00:53] hospital. I entered the manufacturing [inaudible 00:00:56] one of the [inaudible 00:00:59] Pakistan. And then I served for a multinational company called [inaudible 00:01:05]. They're also, you can say, a market leader in [inaudible 00:01:10] business in Pakistan. And then add several [inaudible 00:01:14] head of logistics who's basically the top brand of cooking oil in the Pakistan market.
Currently I'm head of supply chain in one of the leading companies in the field of ketchup and juices and pickles, [inaudible 00:01:32]. I'm the head of supply chain. This is what [inaudible 00:01:35] as far as the experience and consent. Apart from this, I'm also associated with different academic institutions such as [inaudible 00:01:44], such as universities such as [inaudible 00:01:46] for supply chain management related courses. So this is what [inaudible 00:01:51] production is.
What is Transportation Fleet Efficiency?
Transportation fleet efficiency, especially in Pakistan, it matters a lot. Why? Because in Pakistan, the transportation costs is going high due to [inaudible 00:02:11], due to fuel [inaudible 00:02:14], due to different situations. Because in Pakistan, there's a huge supply and demand gap as well, because the demands of the transportation [inaudible 00:02:24] is much high, and the supply [inaudible 00:02:27] is much low. So the cost per trip is very high. That's why if you are not focusing on the efficiency of the trip, you will lose the money in terms of transportation.
Usually the transportation costs in [inaudible 00:02:42] sector or even in the agriculture sectors around 1.5% to 2% of the sales in terms of sales. So the transportation efficiency matters a lot of Pakistan because if you're not focused on transportation efficiency, you lose the money and not only do you lose the money, but you lose the customer's service level as well. Because you will not bring the material timely, and you will have chances of losing the [inaudible 00:03:08]. So that's why the transportation efficiency is very important in this arena or in the area of, you could say, in Pakistan.
As far as how to drive the efficiencies concern, there are lots of tools and gadgets, and you can see a technique required where people are following, adopting, in Pakistan to get out of efficient output of the transportation fleet.
Can you talk about where you've seen some good results?
Yeah. If I talk about cooking oil industry, even in ketchup industry, we have seen different [inaudible 00:03:46] by doing different things. One way, when I'm trying to tell you [inaudible 00:03:49]. But number one, we have entire tracking system. You can see it from the [inaudible 00:03:56] or the fleet. The fleet comes in and out of facility, inside the factory, so the time we issue the token system and the time start inside.
And there is the time tracking as well. Then there is the loading time tracking. And after the loading time, then documentation and dispatch time and then traffic time. You can say from one place to another place such as like the cities Karachi and then other cities Lahore, so what is the traffic time in between. And then the trans fleet reached over there in Lahore, so what will the loading time and [inaudible 00:04:31] time. So the entire tracking system with the, you could see a benchmark hours are mentioned.
[inaudible 00:04:40] from that particular benchmark hours what we decided for the loading time, for the target time, for the unloading time, so that the manager of operations who is looking after the transportation fleet directly, which [inaudible 00:04:55] his KPI.
So he start driving before that but there is something [inaudible 00:05:01]. So the entire channel, the entire movement of the [inaudible 00:05:04] will be monitored efficiently and [inaudible 00:05:08] with the benchmarking system that you need to be complete [inaudible 00:05:12] in that particular [inaudible 00:05:13] and if not, then your KPI and your reward system [inaudible 00:05:17]. Number one.
Number two would predict that in the [inaudible 00:05:23] time efficient especially in these two particular industries, we have developed a [inaudible 00:05:27] called double decker. Double decker means that we don't want to compromise [inaudible 00:05:32] of the cartons because [inaudible 00:05:35] quality and QMS system. So we introduced the double decker system in which the containers are modified. And we have two [inaudible 00:05:45] partition or you can [inaudible 00:05:46] on the ground floor we put some [inaudible 00:05:50] and after [inaudible 00:05:51] the [inaudible 00:05:53] we put wooden planks on that particular container. And then [inaudible 00:06:02] first floor of [inaudible 00:06:04] side of the container. So by doing this, we get efficiency of the space of the container because the movement is really costly. So we save the space even my not compromising the quality. Number two.
Number three is basically unloading time which is a gray area because in some of the [inaudible 00:06:23] when you are feeding to the unit. You can see a [inaudible 00:06:27] or [inaudible 00:06:29] because of the [inaudible 00:06:32] of external customers are not even in tight control in Pakistan. They are not so much professional. They are not so well established. Even then we have assigned the task that you to unload this vehicle if [inaudible 00:06:49] this time if you have the moderate or medium [inaudible 00:06:53], then you have this time, and you have the large weight and then you have this time of unloading.
So the way [inaudible 00:06:59] performance is also along with this that if you [inaudible 00:07:02] you're certain [inaudible 00:07:04] point system and reviews. And at the end of the fiscal year, your reward system will be according.
So the [inaudible 00:07:11] efficiency you can see [inaudible 00:07:14] Pakistan due to the high cost and due to the [inaudible 00:07:17] of the [inaudible 00:07:18]. So that's why people are doing the same.
The number four thing is basically that dedicated system. Because in Pakistan, there is different types of contracts. The number one is dedicated system, the number one. Number two is on-call system. And the number three is by having your own [inaudible 00:07:34]. But the dedicated [inaudible 00:07:35] system is that are assign the task order that this [inaudible 00:07:38] is assigned to us, and we will totally use this [inaudible 00:07:41] by doing efficiency, and we will get maximum [inaudible 00:07:44], and if we'll get maximum [inaudible 00:07:45], we'll give the rewards to the company and the driver as well. So by giving those reward system and by giving the benchmarking system of travel time and loading, unloading time, we are somehow managing efficiency.
And thank you for sharing today.
About Zeeshan Ahmed Ganatra
Zeeshan Ahmed Ganatra
Executive Director at Tmh Enterprise